In an environment of constrained resources and increasing demands, it is no longer enough to know what physical improvements need to be implemented. Identifying the means to fund projects is equally critical to successfully putting a project, or series of projects, into place. HDR's Capital Planning services expand our ability to provide a total solution to a client's needs and requirements throughout planning, implementation, and operation lifecycle.
Traditional CIP funding processes generally require projects to move onto proposed funding lists in a pre-established sequence. This approach may delay a new project for many years based on perceived priorities for other public needs and lack of sufficient debt affordability. Frequently, when a government agency completes a strategic or master planning process, they do not know when or even if they will receive funding for their projects. By the time funding is approved for a project the programmed design and construction concept may be overtaken by growth or rendered obsolete.
HDR's Capital Planning team has extensive experience with the capital investment process from both the public client and independent private sector advisory perspectives.
During the phases of Needs Assessment, Conceptualization, and Planning, we can develop business cases for options, alternatives, and scenarios. Factors we may consider include benefits to affected constituencies, first costs, lifecycle costs, and risk assessment. This approach can help assure that by the time the project is funded, you won’t need to go back to the drawing board.
When the initial decision-making process is complete, we continue to work with the client as they determine funding options. This involves assessing benefits and risks associated with both traditional and non-traditional funding sources, optimal project sequencing if full funding is not expected in the first authorization.
If the client is using non-traditional funding such as a public-private partnership, COP's, swaps, or other non-traditional funding methods, we can provide due diligence and financial transaction modeling services to ascertain what project approach and delivery method is the most advantageous solution.